Pyramid schemes

[seal!]

My friend wants me to go into one with him, I've heard they're mostly cons and there's no way I will make any money from it, has anyone on her ever made any money from one? does anyone have any advice? thanks

[Ethel]

They are illegal so you will have no comback if you lose your money.

Some people will win - the majority will lose.

And are you really prepared to ask x amount of people to join, knowing they will probably lose their money? Because that is what how you make your money.

Strongly advise you to avoid.

[ugly_bob]

I know someone who made a lot of money fro one around a couple of years ago. Also know lots of people who lost on the same one.
The only way to make money is to get in there right at the beginning, usually you need three more layers before you get anything back - possibly 1000 people!!

[arnold lane]

hello seal,
please dont go near em,
a friend of mine lost �7000 on one about 4 yrs ago,
the only people who make any money are the one,s
who set them up, remember if it sounds to good to be true
then it usually is.
a.l.

[vehelpfulguy]

By their name, pyramid, the person at the very top may make some money, but as more people join, and the pyramid gets wider, you need thousands of people to join to get any money back.

You reach the stage where you would need half the population of the UK to join up to make any money.

This is what happened on the Isle of Wight a few years ago, they ran out of people and it collapsed.

http://news.bbc.co.uk/1/hi/business/1298197.st m

Most people finish up poor gullible suckers at the bottom of the pyramid who just lose their money.

[Basle6]

As an entrepreneur who has sampled many of these schemes I would STRONGLY advise you to keep well clear unless you can satisfy yourself that what you are selling has real value(you'll be selling to your friends and family!,
also that you have the personality to keep at it - most schemes rely on you paying your money then getting bored and quitting.
If it is pyramid selling it is illegal - if it is multi-level marketing it may not be.
If you are inexperienced I would keep well away.

[buildersmate]

So what's the distinction between pyramid selling and multi-level marketing? MLM has a minimum proportion of value in the product or services being peddled, perhaps, in relation to its cost under the scheme? (just a guess). Either way the value of what is being offered is low compared to what can conventionally be purchased and the "extra value" comes to the individual through selling-on the concept, not selling the product/service.

[oldhenry]

There is no shortcut to riches, unless by criminal means.
The riches come to those peddling the scheme, not the suckers falling for them.
Don't be a sucker!
Never belive anything you hear and only half of what you see.

[WendyS]

Avoid it like the plague. You'll never make a penny and the whole experience will probably cost your your friendship into the bargain.